U.S. Securities and Exchange Commission

                             Washington, D.C. 20549

                                   Form 10-QSB

(Mark One)
         [X] Quarterly  report pursuant to Section 13 or 15(d) of the Securities
         Exchange Act of 1934 For the quarterly period ended June 30, 2001.

         [ ]  Transition  report  under  Section  13 or 15(d) of the  Securities
         Exchange Act of 1934

          For the transition period from ------------ to ------------.

                        Commission file number 000-26605
                                            ---------------

                             Clarion Internet, Inc.
   ---------------------------------------------------------------------------
                     (Exact name of small business issuer as
                            specified in its charter)

           Nevada                                                33-0860027
--------------------------------------------------------------------------------
  (State or other jurisdiction                                  (IRS Employer
of incorporation or organization)                            Identification No.)

               44489 Town Center Way, #D487 Palm Desert, CA 92260
  -----------------------------------------------------------------------------
                    (Address of principal executive offices)

                                 (760) 342-8040
                            Issuer's telephone number


      (Former name, former address and former fiscal year, if changed since
last report.)


                      APPLICABLE ONLY TO CORPORATE ISSUERS

         State the number of shares  outstanding of each of the issuer's classes
of common  equity,  as of the latest  practical  date:  June 30, 2001  5,000,000


      Transitional Small Business Disclosure Format (check one). Yes ; No X




<PAGE>

                                     PART I


Item 1.  Financial Statements



                         INDEPENDENT ACCOUNTANT'S REPORT


Clarion Internet, Inc.
(A Development Stage Company)

         We have reviewed the  accompanying  balance sheet of Clarion  Internet,
Inc. (A  Development  Stage  Company) as of June 30, 2001 and December 31, 2000,
and the related  statements  of  operations  for the three and six month periods
ended June 30, 2001 and 2000 and cash flows for the six month periods ended June
30, 2001 and 2000.  These  financial  statements are the  responsibility  of the
Company's management.

         We conducted our review in accordance with standards established by the
American  Institute  of  Certified  Public  Accountants.  A  review  of  interim
financial  information consists principally of applying analytical procedures to
financial  data and making  inquiries of persons  responsible  for financial and
accounting matters. It is substantially less in scope than an audit conducted in
accordance with generally accepted auditing standards, the objective of which is
the expression of an opinion regarding the financial statement taken as a whole.
Accordingly, we do not express such an opinion.

         Based on our  review,  we are not aware of any  material  modifications
that should be made to the accompanying  financial  statements for them to be in
conformity with generally accepted accounting principles.

                                           Respectfully submitted



                                           \s\ Robison, Hill & Co.
                                           ------------------------------------
                                           Certified Public Accountants

Salt Lake City, Utah
August 16, 2001






                                        2

<PAGE>

                             CLARION INTERNET, INC.
                          (A Development Stage Company)
                                 BALANCE SHEETS
                                   (Unaudited)
<TABLE>
<CAPTION>


                                                                                  June 30,          December 31,
                                                                                    2001                2000
                                                                             ------------------  ------------------
ASSETS
<S>                                                                          <C>                 <C>
   Cash                                                                      $            6,703  $            8,251
                                                                             ==================  ==================


LIABILITIES AND STOCKHOLDERS' EQUITY
Liabilities:
  Accounts Payable                                                           $              650  $              250
  Accrued expenses                                                                            -               2,377
                                                                             ------------------  ------------------

          Total Liabilities                                                                 650               2,627
                                                                             ------------------  ------------------

Stockholders' Equity
Common stock (par value $.00005), 100,000,000 shares
authorized, issued 5,000,000 shares at June 30, 2001
and December 31, 2000                                                                       263                 263
Paid-In Capital                                                                          52,987              50,610
Retained Deficit                                                                        (45,249)            (45,249)
Deficit Accumulated During the
    Development Stage                                                                    (1,948)                  -
                                                                             ------------------  ------------------

          Total Stockholders' Equity                                                      6,053               5,624
                                                                             ------------------  ------------------

          Total Liabilities and Stockholders' Equity                         $            6,703  $            8,251
                                                                             ==================  ==================

</TABLE>






                 See accompanying notes and accountants' report

                                        3

<PAGE>

                             CLARION INTERNET, INC.
                          (A Development Stage Company)
                             STATEMENT OF OPERATIONS
                                   (Unaudited)

<TABLE>
<CAPTION>



                                                                                                      Cumulative
                                                                                                        since
                                                                                                      January 1,
                                     For the Three Months               For the Six Months               2001
                                            Ended                              Ended                 inception of
                                           June 30,                          June 30,                development
                              ---------------------------------- ---------------------------------
                                    2001              2000             2001             2000            stage
                              ----------------- ---------------- ----------------- --------------------------------

<S>                           <C>               <C>              <C>               <C>             <C>
Revenues                      $            --   $           --   $            --   $          --   $           --
                              ----------------- ---------------- ----------------- --------------- ----------------

Expenses
  Selling, general and
  administrative expenses                 1,948           10,272             1,948          15,255           (1,948)
                              ----------------- ---------------- ----------------- --------------------------------

Operating Loss                           (1,948)         (10,272)           (1,948)        (15,255)          (1,948)
                              ----------------- ---------------- ----------------- --------------- ----------------

Other Income (Expense)                        -            4,700                 -           4,700                -
                              ----------------- ---------------- ----------------- --------------- ----------------

Loss before taxes                        (1,948)          (5,572)           (1,948)        (10,555)          (1,948)
Income taxes                                  -                -                 -               -                -
                              ----------------- ---------------- ----------------- --------------- ----------------

       Net Income (Loss)      $          (1,948)$         (5,572)$          (1,948)$       (10,555)$         (1,948)
                              ================= ================ ================= =============== ================

Basic & Diluted loss
Per Share                     $            --   $           --   $            --   $          --
                              ================= ================ ================= ===============

</TABLE>








                 See accompanying notes and accountants' report

                                        4

<PAGE>

                             CLARION INTERNET, INC.
                          (A Development Stage Company)
                             STATEMENT OF CASH FLOWS
                                   (Unaudited)
<TABLE>
<CAPTION>


                                                                                              Cumulative
                                                                                                 since
                                                                                              January 1,
                                                                                                 2001
                                                           For the Six Months Ended          inception of
                                                                   June 30,                   development
                                                      -----------------------------------
                                                            2001              2000               stage
                                                      ----------------- -----------------  -----------------
Cash Flows from Operating Activities:
<S>                                                   <C>               <C>                <C>
    Net Loss                                          $          (1,948)$         (10,555) $          (1,948)
    Increase (Decrease) in Accounts Payable                         400            (1,000)               400
    Increase (Decrease) in Accrued Expenses                      (2,377)            6,000             (2,377)
                                                      ----------------- -----------------  -----------------
        Net cash used in operating activities                    (3,925)           (5,555)            (3,925)
                                                      ----------------- -----------------  -----------------

Cash Flows from Investing Activities:
        Net cash provided by investing activities                     -                 -                  -
                                                      ----------------- -----------------  -----------------

Cash Flows from Financing Activities:
    Capital Contributed by Shareholder                            2,377                                2,377
    Issuance of Common Stock                                          -                 -                  -
                                                      ----------------- -----------------  -----------------
         Net cash provided by
         financing activities                                     2,377                 -              2,377
                                                      ----------------- -----------------  -----------------

Net change in cash and cash equivalents                          (1,548)           (5,555)            (1,548)
Cash and cash equivalents
at beginning of period                                            8,251            13,779              8,251
                                                      ----------------- -----------------  -----------------

Cash and cash equivalents at end of period            $           6,703 $           8,224  $           6,703
                                                      ================= =================  =================

Supplemental Disclosure of Cash Flow
Information:
    Cash paid during the year for:
        Interest                                      $            --   $            --    $            --
        Franchise and income taxes                    $            --   $            --    $            --

Supplemental Disclosure of Non-Cash
Investing and Financing Activities: None
</TABLE>

                 See accompanying notes and accountants' report

                                        5

<PAGE>

                             CLARION INTERNET, INC.
                          (A Development Stage Company)
                          NOTES TO FINANCIAL STATEMENTS
                     FOR THE SIX MONTHS ENDED JUNE 30, 2001
                                   (Unaudited)

NOTE 1 - ORGANIZATION AND SUMMARY OF ACCOUNTING POLICIES

         This  summary of  accounting  policies  for Clarion  Internet,  Inc. (A
Development Stage Company) is presented to assist in understanding the Company's
financial  statements.  The accounting  policies  conform to generally  accepted
accounting  principles and have been consistently  applied in the preparation of
the financial statements.

Interim Reporting

         The unaudited financial  statements as of June 30, 2001 and for the six
month period then ended reflect,  in the opinion of management,  all adjustments
(which include only normal recurring  adjustments) necessary to fairly state the
financial  position  and results of  operations  for the six  months.  Operating
results for interim periods are not necessarily  indicative of the results which
can be expected for full years.

Organization and Basis of Presentation

         The Company was  incorporated  under the laws of the State of Nevada on
January 8, 1999. The Company is in the development  stage as of January 1, 2001,
and has not commenced planned principal operations.

Nature of Business

         The company  was formed for the  purpose of offering a desert  Internet
directory of Coachella Valley business.  The Company's  website,  which is under
development  and not yet  fully  functional,  will  provide  listings  of  local
businesses in an electronic  Internet "yellow pages" - type directory  providing
an easily  accessible,  high  exposure  Internet  presence  to small and growing
businesses through its website at "www.DesertYellowPages.com."

Cash and Cash Equivalents

         For the purpose of  reporting  cash flows,  the Company  considers  all
highly liquid debt  instruments  purchased with maturity of three months or less
to be cash equivalents to the extent the funds are not being held for investment
purposes.

Concentrations of Credit Risk

         The  Company has no  significant  off-balance-sheet  concentrations  of
credit  risk such as foreign  exchange  contracts,  options  contracts  or other
foreign hedging arrangements.

                                        6

<PAGE>

                             CLARION INTERNET, INC.
                          (A Development Stage Company)
                          NOTES TO FINANCIAL STATEMENTS
                     FOR THE SIX MONTHS ENDED JUNE 30, 2001
                                   (Unaudited)


NOTE 1 - ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(Continued)

Pervasiveness of Estimates

         The  preparation of financial  statements in conformity  with generally
accepted  accounting  principles  required  management  to  make  estimates  and
assumptions  that  affect the  reported  amounts of assets and  liabilities  and
disclosure of  contingent  assets and  liabilities  at the date of the financial
statements  and the  reported  amounts  of  revenues  and  expenses  during  the
reporting period. Actual results could differ from those estimates.

Loss per Share

         The  reconciliations  of the numerators and  denominators  of the basic
income (loss) per share computations are as follows:
<TABLE>
<CAPTION>

                                                                                                     Per-Share
                                                              Income              Shares               Amount
                                                              ------              ------               ------
                                                           (Numerator)         (Denominator)

                                                                 For the Three Months Ended June 30, 2001
Basic Income per Share
<S>                                                     <C>                 <C>                  <C>
Income to common shareholders                           $          (1,948)            5,000,000  $            --
                                                        ==================  ===================  ==================

                                                                 For the Three Months Ended June 30, 2000
Basic Loss per Share
Loss to common shareholders                             $           (5,572)           5,000,000  $            --
                                                        ==================  ===================  ==================

                                                                  For the Six Months Ended June 30, 2001
Basic Income per Share
Income to common shareholders                           $          (1,948)            5,000,000  $            --
                                                        ==================  ===================  ==================

                                                                  For the Six Months Ended June 30, 2000
Basic Loss per Share
Loss to common shareholders                             $          (10,555)           5,000,000  $            --
                                                        ==================  ===================  ==================
</TABLE>

         The effect of outstanding  common stock  equivalents are  anti-dilutive
for June 30, 2001 and 2000 and are thus not considered.


                                        7

<PAGE>

                             CLARION INTERNET, INC.
                          (A Development Stage Company)
                          NOTES TO FINANCIAL STATEMENTS
                     FOR THE SIX MONTHS ENDED JUNE 30, 2001
                                   (Unaudited)

NOTE 2 - INCOME TAXES


         As of June 30, 2001, the Company had a net operating loss  carryforward
for income tax reporting  purposes of  approximately  $47,000 that may be offset
against future taxable income through 2021. Current tax laws limit the amount of
loss  available to be offset  against  future  taxable income when a substantial
change in ownership  occurs.  Therefore,  the amount  available to offset future
taxable income may be limited. No tax benefit has been reported in the financial
statements,  because the Company  believes  there is a 50% or greater chance the
carryforwards will expire unused. Accordingly, the potential tax benefits of the
loss carryforwards are offset by a valuation allowance of the same amount.


NOTE 3 - DEVELOPMENT STAGE COMPANY

         The Company has not begun principal  operations and as is common with a
development  stage  company,  the Company has had  recurring  losses  during its
development stage.

NOTE 4 - COMMITMENTS

         As of June 30, 2001 all  activities of the Company have been  conducted
by corporate  officers from either their homes or business  offices.  Currently,
there  are no  outstanding  debts  owed by the  company  for  the  use of  these
facilities and there are no commitments for future use of the facilities.

NOTE 5 - STOCK SPLIT

         On October  25,  1999 the  Company  authorized  a 2 for 1 stock  split,
changed the authorized number of shares to 3,000,000 and the par vale to $.00005
for the Company'  common stock.  All  references in the  accompanying  financial
statements  to the number of common  shares and  per-share  amounts for 2000 and
1999 have been restated to reflect the stock split.

NOTE 6 - STOCK ISSUED

         On  December  15, 1999 the Company  paid an officer  and  director  for
services  rendered with 2,000,000 shares of common stock. This brings the number
of shares issued and outstanding to 5,000,000 shares as of December 31, 1999.

         During  October of 2000 the Board of Directors  authorized the issuance
of 250,000 shares of stock to unrelated parties as payment of services.



                                        8

<PAGE>

Item 2.  Management's Discussion and Analysis or Plan of Operation

General

         This  discussion  should  be  read  in  conjunction  with  Management's
Discussion and Analysis of Financial  Condition and Results of Operations in the
Company's annual report on Form 10-KSB for the year ended December 31, 2000.

Results of Operations

         For the quarter ended June 30, 2001 compared to the same period in 2000
are not necessarily  indicative of the results that may be expected for the year
ended December 31, 2001.

         The Company had $0 in revenues  for the six months  ended June 30, 2001
and $4,700 in revenues for the same period in 2000.  The Company had no costs of
sales  revenues for the six months ended June 30, 2001 or 2000.  The Company had
general and  administrative  expenses of $1,984 for the six month  period  ended
June 30, 2001 and $15,255 for the same period in 2000.


         The Company  recorded  net loss of $1,984 for the six months ended June
30, 2001 compared to $10,555 loss for the same period in 2000.


Capital Resources and Liquidity

         At June 30, 2001,  the Company had total  current  assets of $6,703 and
total  assets of $6,703 as compared to $8,251  current  assets and $8,251  total
assets at December 31, 2000. The Company had a net working capital of $6,053 and
$5,624 at June 30, 2001 and December 31, 2000.


         Net  stockholders'  equity in the  Company  was $6,053 and $5,624 as of
June 30, 2001 and December 31, 2000.









                                        9

<PAGE>



PART II - OTHER INFORMATION


Item 1.  Legal Proceedings

     None.

Item 2.  Changes in Securities

     None.

Item 3.  Defaults Upon Senior Securities

     None.

Item 4.  Submission of Matters to a Vote of Security Holders.

     None.

Item 5.  Other Information

         On April 10, 2001, the Company accepted Matthew Blansett's  resignation
from his positions.  Effective  August 1, 2001, Gina Zapara is the new Corporate
Secretary and Sole director.

Item 6.  Exhibits and Reports on Form 8-K

         The Company has not filed a Form 8-K during the three months ended June
30, 2001.


                                       10

<PAGE>


                                   SIGNATURES



         In accordance with the requirements of the Exchange Act, the registrant
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.



                             CLARION INTERNET, INC.
                             -----------------------
                                  (Registrant)





DATE: August 20, 2001                       By:  /s/        Gina Zapara
     ----------------                          -------------------------------
                                                 Gina Zapara,
                                                (Principal Financial and
                                                 Accounting Officer)










                                       11